Strategic Growth Targets for 2026

We talked a bit before we began about LinkedIn, and I've got a post teed up to follow this next week about what the playbook is likepoint by pointfor growing a business. To me, one of the crucial things, and I feel very lucky, is that both brand names I've been included with are special.

And there's nothing precisely like Chop Shop in terms of what we're finishing with a big, diverse menu. A lot of brands today are really singularly focused in regards to what they're providing from a food item. I seem like we began at an advantage with both brand names by having something distinct that filled a niche nobody else was doing.

A lot of it begins with the brand name. Does your brand have something special that no one else is doing?

The second thingI came from a financing background, so a lot of my learnings are more financing and data-driven versus a lot of early start-up restaurateurs who are imaginative types. They like the food, they developed the menu, they developed the brand name.

They don't know their breakeven sales. They do not comprehend how margin enhances as sales increase. They don't understand cash-on-cash returns. I've seen a lot of companies where the numbers simply do not work. And yet people say: let's open 10 more. And I'll state: why? It doesn't generate income. Stop. You require to find an idea that is distinct.

Fast Casual Industry Growth for 2026

If you don't have those 2 things, you shouldn't be constructing stores. Because as I hear your description, you have actually highlighted 3 things: execution, brand name differentiation, and monetary practicality.

Second, you need a compelling brand or unique concept that resonates with clients. And third, the math needs to work. If you don't comprehend your system economics, your fixed and variable costs, you may be broadening blind and losing money. Exactly. And another crucial lesson has to do with getting in brand-new markets.

When we expanded to Dallas, I expected brand-new shops to do 5070% of Phoenix sales in the very first year. A lot of operators assume new markets will open at complete volume the first day. That almost never ever happens. And when the shops open slow, but you have actually signed leases and built a financial design based upon greater volumes, you get overextended.

Otherwise, they get rose-colored glasses about success in the home market and assume it will translate rapidly. You pointed out expecting 5070% volumes. I've even seen cases where it's simply 2530% at launch.

Freddy's Frozen Custard & Steakburgers

How to Scale Your Restaurant Brand

So you require equity sponsors who believe in the vision and the team. Another lesson: you require to open 4 to 6 stores in a new market within 2 to 3 years. That's costly, but it develops vital mass, builds awareness, and validates above-store leadership. Without it, you stay sluggish and unprofitable.

At Chop Store, we intentionally developed strong bases in Phoenix and Dallas. That gave us the success to hold up against sluggish starts in Houston and Atlanta. And we were fortunate that Dallasour second marketwas also where our group lived. Having the whole team in-market to support shops, hire, and ensure culture was substantial.

Individuals frequently underestimate how vital team is to scaling. How have you approached building and scaling your group? This is something I'm truly pleased with. Our team took all the things we disliked from past jobsfeeling underappreciated, underpaid, growth-stifledand developed the opposite culture here. We emphasize growth mindset and profession pathing.

Why Is Scaling the Best Move?

Otherwise, they get rose-colored glasses about success in the home market and presume it will translate quickly. You pointed out anticipating 5070% volumes. That's sobering. I have actually even seen cases where it's just 2530% at launch. It underscores how important capital structure is. Yes. The majority of small growth concepts like ours depend on equity, not debt.

You need equity sponsors who believe in the vision and the team. That's expensive, however it develops critical mass, builds awareness, and validates above-store leadership.

And we were lucky that Dallasour 2nd marketwas also where our group lived. Having the entire team in-market to support stores, hire, and make sure culture was substantial.

Freddy's Frozen Custard & Steakburgers

Individuals frequently underestimate how important group is to scaling. Our group took all the things we disliked from previous jobsfeeling underappreciated, underpaid, growth-stifledand built the opposite culture here.

Otherwise, they get rose-colored glasses about success in the home market and presume it will equate rapidly. You pointed out expecting 5070% volumes. I have actually even seen cases where it's just 2530% at launch.

Freddy's Frozen Custard & Steakburgers

Corporate Expansion Milestones for 2026

You require equity sponsors who think in the vision and the team. That's expensive, however it develops vital mass, develops awareness, and justifies above-store management.

At Chop Store, we intentionally constructed strong bases in Phoenix and Dallas initially. That offered us the success to hold up against sluggish starts in Houston and Atlanta. And we were fortunate that Dallasour 2nd marketwas also where our team lived. Having the entire group in-market to support stores, hire, and make sure culture was substantial.

People frequently underestimate how vital team is to scaling. How have you approached structure and scaling your team? This is something I'm actually pleased with. Our group took all the important things we hated from previous jobsfeeling underappreciated, underpaid, growth-stifledand constructed the opposite culture here. We stress growth state of mind and career pathing.